Oracle, SAP settle long-standing TomorrowNow lawsuit

From PC World: SAP and Oracle have settled a long-standing copyright-infringement lawsuit, with the German company agreeing to pay about US$359 million in damages and interest to Oracle instead of the $1.3 billion awarded in 2010.

Oracle was sued by SAP in 2007 on allegations that its now-defunct subsidiary, TomorrowNow, had illegally downloaded Oracle’s software while providing software support services to Oracle customers.

SAP eventually accepted liability for the wrongdoing by TomorrowNow, which led to a trial on damages that resulted in the $1.3 billion award. That decision by a jury in 2010 was overruled by U.S. District Judge Phyllis Hamilton who found that the jury had overreached, and gave Oracle the choice of accepting a smaller award of $272 million or seeking a new trial. An appeals court revised the damages figure to $356.7 million.

“We are thrilled about this landmark recovery and extremely gratified that our efforts to protect innovation and our shareholder’s interests are duly rewarded,” said Dorian Daley, Oracle’s general counsel in an emailed statement. “This sends a strong message to those who would prefer to cheat than compete fairly and legally.”

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